Orange ready to boycott Israel ‘tomorrow’ – CEO

Telecoms giant Orange, part-owned by the French government, is ready to cut ties with Tel-Aviv, said CEO Stephane Richard, as it is severely criticized in France and Egypt for providing services in areas acknowledged by UN as occupied by Israel.

“I am ready to
abandon this tomorrow morning,” Orange chairman and CEO
Stephane Richard told reporters in Cairo on Wednesday. “I
know that it is a sensitive issue here in Egypt, but not only in
Egypt... We want to be one of the trustful partners of all Arab
countries.”

However, Richard said he wanted to avoid legal risks for the
company and not expose Orange to possible penalties.

Orange doesn’t provide services in Israel directly, working in an
affiliate agreement with an Israeli company, Partner, one of
Israel’s largest cell phone operators.

In May, the well-respected French aid organisation Catholic
Committee against Hunger and for Development accused Partner of building more than 100
telecommunication antennas on confiscated Palestinian lands and
setting up four shops in Israeli settlements. Orange was
subsequently criticized for ignoring the French Foreign
Ministry’s guidelines on investing in Israel.

Orange, in which the
French government has a 25 percent stake, has faced persistent
calls to cancel its contract with Partner in France and Egypt
since then.

According to Richard, the history of Partner using the Orange
brand goes back to the 1990s, when France Telecom bought Orange
and the affiliate contract was inherited by the company after the
acquisition.

The benefits from working with Partner are low, considering the
size of Orange’s business, Richard said.

The only connection between Partner and France Telecom is the
brand name, the company is owned by Saban Capital Group, not by
France Telecom or Orange, said Partner.

“I am confident that these reports do not reflect the intent
of your company. I therefore urge you to clarify the matter as
soon as possible,” said Israel’s deputy foreign minister,
Tzipi Hotovely, demanding an explanation from Orange.

The territories in question have been occupied by Israel since
the 1967 Six-Day War, a clash between Israel and several Arabic
states. UN Resolution 242 (1967) demands the withdrawal of Israeli armed
forces from the territories occupied in the conflict. Israel
disagrees with the wording of the resolution, saying that the
territories are disputable.